Changing mortgage rules again?

[wazup]

I've been debating to sell my house and this may be the reason to. Could create a buying frenzy before June 1st. Anyone smarter than me have an opinion, less people qualified means lower sale price I would assume after June 1st?

https://www.cbc.ca/amp/1.5979558

 

[bazokajoe]

Can't blame the banks. They don't want to be stuck with a bunch of foreclosures.
It is a business after all.

 

[Brotherman]

If you want to sell your house, this is the best time to do it. Interest rates are low, which means bidding wars. Most investors aren't affected by the mortgage rules as they have plenty of cash lying around.

 

[farquhar]

Get a Chinese relator; they have the connections to the "investors" from the mainland who have plenty of cash lying around as @Brotherman says.

All the For Sale signs that I see in my neighborhood have Chinese faces on them.

Bank appraisals are coming up short with greater frequency; the home appraisals are not keeping pace with the market price; and if you take an offer with No Financing Condition you want to ensure the Buyer has the cash on hand to close the deal. Chinese investors have the money. I see ads on YouTube now for condo developments in Toronto that are all in Mandarin; which proves what I am saying.

 

[doggyorcg]

Can't blame the banks. They don't want to be stuck with a bunch of foreclosures.
It is a business after all.

Any ideas on how to find out about foreclosures? I am looking for a dump to renovate.

 

[jerbear15]

If you want to sell your house, this is the best time to do it. Interest rates are low, which means bidding wars. Most investors aren't affected by the mortgage rules as they have plenty of cash lying around.

Yeah it is a great time but you have to buy another one.

 

[doggyorcg]

If you want to sell your house, this is the best time to do it. Interest rates are low, which means bidding wars. Most investors aren't affected by the mortgage rules as they have plenty of cash lying around.

The bidding wars have practically shut out the small guys. An increase in the stress test is moot because the little guys are still out of the game. The money from foreign investors is near impossible to compete with. Increasing the stress test is basically rubbing salt in the wound.

 

[Darts]

Interest rates are low, which means bidding wars.

Watch the Bank of Canada on July 12th 2017.
New job numbers ‘cement the case’ for an interest rate hike next week: CIBC - National | Globalnews.ca

 

[doggyorcg]

Watch the Bank of Canada on July 12th.
New job numbers ‘cement the case’ for an interest rate hike next week: CIBC - National | Globalnews.ca

Huh? That's July 12, 2017 article. Or is July 12th some kind of special day??

 

[Darts]

Huh? That's July 12, 2017 article. Or is July 12th some kind of special day??

Holy shit! 2017! Maybe history will repeat itself in 2021. LOL!

Seriously, I did hear on the radio that the great job and economic reports and rising housing prices argues for a rate hike. We shall see.

 

[Jenesis]

If you want to sell your house, this is the best time to do it. Interest rates are low, which means bidding wars. Most investors aren't affected by the mortgage rules as they have plenty of cash lying around.

Tons of bidding wars going on right now. Houses selling 500K over asking. Places selling in one day wit 15+ offers. It is nuts out there right now. A buddy of mine is finishing off 3 properties he is flipping just to get into this market right now. Says he will make the most off these three than he has ever made off flips.

 

[saxon]

Might as well sell now, if the Liberals win a majority in the next election I don’t think there’s any doubt they will start charging capital gains taxes on the sale of principal residences.

 

[Darts]

Might as well sell now, if the Liberals win a majority in the next election I don’t think there’s any doubt they will start charging capital gains taxes on the sale of principal residences.

Holy crap! We took the tax-free gain on the old house to buy our new house a year ago. It would be awful if we had to pay 25% of that gain to Trudeau.

Maybe, they'll build in a grandfathering rule (any gains up to April 30, 2021 is tax-exempt). Or, maybe a rollover rule (no tax on the sales proceeds if used to buy another house).

If the Liberals don't do one and/or the other or both then they have committed political suicide.

 

[wazup]

Not in tronna so the Chinese thing won't affect me. The article said may 7th was the decision day to tighten rules and take effect June 1st. Hard to time the market.

 

[doggyorcg]

Tons of bidding wars going on right now. Houses selling 500K over asking. Places selling in one day wit 15+ offers. It is nuts out there right now. A buddy of mine is finishing off 3 properties he is flipping just to get into this market right now. Says he will make the most off these three than he has ever made off flips.

Flippers are making a killing right now. They don’t even have to go with high end finishes. Market is so nuts right now laminate countertops, laminate floors, and mdf baseboards are commanding ultra top price. People are overpaying for basic materials. Flippers are laughing all the way to the bank. Good on them. They took a risk, renovated a property then made a tidy profit. They are after all, providing an essential service: shelter.

 

[farquhar]

Might as well sell now, if the Liberals win a majority in the next election I don’t think there’s any doubt they will start charging capital gains taxes on the sale of principal residences.

No way; that's the sacred cow that you don't slaughter.

I predict the capital gains exemption on principal residences remains; and that the overall capital gains inclusion rate goes from 50% to 66.6%.

 

[angrymime666]

No way; that's the sacred cow that you don't slaughter.

I predict the capital gains exemption on principal residences remains; and that the overall capital gains inclusion rate goes from 50% to 66.6%.

a capital gains tax on primary residence by any political party would be suicide. politicians dont want to be the bad guys or they wont get elected. free shit gets people elected.

 

[doggyorcg]

a capital gains tax on primary residence by any political party would be suicide. politicians dont want to be the bad guys or they wont get elected. free shit gets people elected.

It’s not the primary residence homeowners that are causing the inflated/overheated market, it is the investors/speculators/flippers. Increasing capital gains taxes for non-homeowners forces investors to cool it on real estate. But, by the time they do it, the damage will be done. Real estate prices in the Golden Horseshoe rarely decrease. Again another reason to sell now before government takes a bigger piece of our investment pie.

 

[Indiana]

 

[Darts]

Real estate prices in the Golden Horseshoe rarely decrease. Again another reason to sell now before government takes a bigger piece of our investment pie.

Question: If you sell now, where will you deploy the $10mm?